Wednesday's Events: Fed's Beige Book, Fed & ECB Speakers, Canadian Q1 Cap. U.

The Fed's Beige Book and some Fed speakers will top the economic data menu for the United States on Wednesday as Canadian markets receive first-quarter capacity utilization data. In Europe, markets will also be preparing to hear from J?Stark of the European Central Bank speaking at a Boston Fed Conference on Inflation, and with oil prices surging, the Department of Energy's oil inventories will draw much attention.

At 7 a.m. EDT, the U.S. Mortgage Bankers Association will release weekly mortgage applications for the week ending June 6. In the previous week, applications fell by 1.3% week-over-week.

At 8:30 a.m. EDT, Statistics Canada will release first quarter capacity utilization, which is expected to decline to 80.8% compared to the previous quarter's 81.8% level.

At 8:30 a.m. EDT, Statistics Canada will release the new housing price index for April. Economists are expecting a 0.3% month-over-month increase in the index compared to March's 0.2% rise.

At 10:35 a.m. EDT, the U.S. Department of Energy will release oil inventories for the week ending June 6. Economists are expecting a 1500k draw in crude oil reserves following the previous 4802k decline. Gasoline inventories are expected to expand 1450k following the previous 2935k build. Distillate inventories are expected to rise 2000k after rising 2273k in the previous week. Refinery utilization is expected to increase 0.3% after expanding 1.82% in the previous week.

At 11:30 a.m. EDT, European Central Bank Governing Council Member J?Stark will speak at the Boston Fed's Conference on inflation and about how central bankers use the Phillips Curve.

At 11:30 a.m. EDT, Fed Vice-Chairman Donald Kohn will speak in a panel discussion with other central bankers at the Boston Fed's conference on inflation. A Q&A will follow.

At 12:15 p.m. EDT, Fed Governor Randall Kroszner will speak at the Cleveland Fed's 2008 Community Development Policy Summit on consumer credit markets. Cleveland Fed President Sandra Pianalto will introduce him. No Q&A is expected from either speaker.

At 1 p.m. EDT, St. Louis Fed President Jim Bullard (non-voter) will speak at a conference of macroeconomic advisors in St. Louis.

At 1:30 p.m. EDT, U.S. Under Secretary for Domestic Finance, Robert Steel, will speak at the Wall Street Journal Deal and Dealmakers Executive Conference on regulation and the Fed.

At 2 p.m. EDT, the U.S. Federal Reserve will release the Beige Book.

At 2 p.m. EDT, the U.S. Treasury will release the monthly budget statement for May. Economists expect a decline to -$164.5 billion compared to the previous year's -$67.7 billion level.

7:00 US MBA Mortgage Applications W/E June 6 Prior: -15.3%

8:30 CA Capacity Utilization Rate Q1 Exp: 80.8% Prior: 81.8%

8:30 CA New Housing Price Index (M/M) April Exp: +0.3% Prior: +0.2%

10:35 US DOE U.S. Crude Oil Inventories W/E June 6 Exp: -1500K Prior: -4802K

10:35 US DOE U.S. Gasoline Inventories W/E June 6 Exp: +1450K Prior: +2935K

10:35 US DOE U.S. Distillate Inventory W/E June 6 Exp: +2000K Prior: +2273K

10:35 US DOE U.S. Refinery Utilization WE June 6 Exp: +0.3% Prior: +1.82%

11:30 US Kohn Speaks at Boston Fed Conference Panel on Inflation

11:30 EU ECB's Stark Speaks at Boston Fed Conference

12:15 US Fed's Kroszner, Pianalto Speak at Community Development Summit

13:00 US St. Louis Fed's Bullard to Speak at Macroeconomic Conference

13:30 US Treasury's Steel Speaks in New York on Regulatory Reform, Fed

14:00 US Fed's Beige Book

14:00 US Monthly Budget Statement May Exp: -$164.5B Prior: -$67.7B

14:00 US Fed releases Beige Book Economic Report

By Erik Kevin Franco and edited by Stephen Huebl